Understanding the Difference Municipal Tax vs. Township Tax in the Greater Cincinnati Area

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Most homeowners don’t realize this but you pay different taxes based on where you live and work. So to help you understand the difference between the various taxes you pay accordingly, I wanted to share some examples with you. That way the next time you move you can consult with me and get some additional insight as to what might save you money throughout the year, every year.

Sycamore, Anderson, Simms Township Residents Spared Additional Taxes

If you have established your residence in these townships you will not have to pay an additional city tax for living in the area. Despite working in another area – you are still not charged additional taxes. For example, if living in Blue Ash and working in Blue Ash you are paying a 1% Blue Ash tax. If you live in Blue Ash and work in Downtown, you are paying 2.1%.

Similarly, if you live in Anderson Township and you work in Anderson Township as well, you would not be responsible for any additional municipal taxes – rather you are simply paying federal and state taxes.

Working in a Municipality Will Not Eliminate Taxes

If you are working in a municipality but living Downtown you would still be responsible for the 2.1% tax since your place of work is located in a tax area that is subject to city tax.
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If you are considering a new home and have the flexibility to choose a township, it might be a good idea to consider one of these locales and consequently save money on taxes. This is particularly ideal for self-employed people, business owners or telecommuters that are looking to move.

I look forward to helping you with this or any of your real estate needs and welcome your inquires. Call me today!